By Leonard Kamugisha Akida,
NATIONAL
Uganda’s ongoing economic meltdown is getting worse day by day and the country may soon declare a state of economic emergence as the country’s minister of finance reveals that government is on the brink of bankruptcy.
Kasaija says the country’s economy is crippling noting that the national budget currently being wasted.
The minister was made remarks while appearing before the parliamentary economic oversight committee on Thursday when he disclosed that the funds he sent to the state agencies in the first half of the 2022/2023 fiscal year were also meagre.
He told the committee that the national tax regulatory body, URA is collecting very little tax due to the economic meltdown in the country.
According to him, this affects the ministry as there are no funds available to send to government agencies to support the running of government programmes.
Kasaija execused that he would borrow from the Central Bank of Uganda to run the country’s operations, but the bank would charge him high-interest rates.
Asked about the ministry’s comprehensive plans to revamp the economy, Kasaija promised MPs that he would return to the committee next week with the permanent Secretary of the ministry of finance also the head of the National Treasury, Ramathan Goobi, to explain more about the current economic situation.
Recently, the finance ministry officials told the nation that the reason for the low disbursement of government agencies was due to the ministry’s plan, to reduce inflation by reducing the amount of money in the population.
Pakwach District MP Jane Pachuto thanked Minister Kasaija for telling the truth that the government does not have the money to run the country, instead of hiding in inflation where his colleagues are hiding, saying the real problem is now understood.
Namayingo District MP Margret Makhoha urged the minister to present to the committee next week the government’s plan to help citizens with bad businesses
Kasaija’s revelations come at a time when the country is faced with huge inflation brought about by the drastic increase in the fuel prices, COVID-19 pandemic among other unavoidable factors
